Frequently Asked Questions

Private foundations are generally financially supported by one or a small handful of sources—an individual, a family, or a corporation. Private foundations must pay out at least 5 percent of their assets each year in the form of grants and operating charitable activities. A private operating foundation is a kind of private foundation and must operate under similar rules. However, it does not have to pay out 5 percent or more of its assets each year in grants. Instead, it must carry out its own charitable purposes. All private foundations are 501(c)(3) organizations. Under the Internal Revenue Code, a charity is presumed to be a private foundation unless it can prove that it is a public charity.

• Interdisciplinary programs and initiatives
• Interdisciplinary and applied Research
• In rare cases, funding is targeted toward:
  • General operating support
  • Scholarships for specific populations

Grants may be one-year vs. multi-year funding, although there are exceptions. Be sure to understand the terms and duration of the foundation’s grant cycle.

Foundation grant seeking requires a balance of formal grant seeking and traditional fundraising approaches. 12-18 months from initial contact to award is common. Foundation funding is not a “quick solution” for funding needs, but an important part of a diversified fundraising strategy. It requires a strategic and proactive, rather than reactive, approach.

Contact our office when you have questions about private foundations or want to begin exploring private foundation funding opportunities. We can help with prospect research, developing proposals, planning foundation visits, and more.

Yes! Our assistant directors and director serve as proposal consultants for letters of inquiry (LOIs) or proposals requesting foundation support. We can provide guidance on framing your request, review draft inquiries and draft proposals, and ensure that the language and context align with the audience that will be reviewing your request. Review our Support Resources for more details on how our team can assist you.

We strongly encourage you to contact us before approaching a foundation. Our experience may greatly increase your chances of success. Some foundations require that you approach them through our office; some limit the number of proposals Penn State can submit and ask our office to coordinate them. What if you meet a program officer at a conference or over social media? Faculty are often a first point of contact with Foundation representatives and we encourage you to make use of those relationships. Our office serves to broaden the institutional relationship with a prospective funder by providing additional insight into the funder’s priorities, as well as a thorough understanding of their history of funding to Penn State.  As such, we do ask you to get in touch with us when you’re making an approach—that’s our area of expertise.

The OFR staff has developed relationships with program officers at dozens of foundations and are experienced at locating existing connections to Penn State or forging new ones when needed. We can often offer inside information about a specific Foundation or opportunity based on our prior work with them and can share what we have learned about their current priorities.

We have restricted a discrete list of foundations that are centrally managed by our office due to the extensive nature of the University’s relationship with the foundation, because the foundation may limit the number of applications that can be made from Penn State, particular interests of the funder, etc.  See the list of managed prospects and connect with our office prior to pursuing any outreach independently.

Limited submissions are funding opportunities whereby the number of applications Penn State can submit is limited by the foundation. Penn State’s Office of the Senior Vice President for Research manages these opportunities and hosts an internal competition prior to any submission to the funder. All limited submission opportunities, including how to apply for the internal phase, can be found on the Office of the Senior Vice President for Research’s website.

We focus exclusively on building and strengthening relationships with private, professional foundations. We support faculty University-wide in developing and submitting the strongest proposals to the most appropriate foundations. We also monitor all foundation proposal activity and track philanthropic gifts on behalf of the University.

The Office of Sponsored Programs manages sponsored programs in support of Penn State’s mission. All grants, regardless of the funding source, must be tracked by OSP to ensure University compliance on a number of measures.

Each funder and funding opportunity will have unique eligibility requirements that must be reviewed and adhered to.

Yes!  Please email foundations@psu.edu to request any institutional documents required.

No. PSU is not a 501(c)(3). However, most foundations will accept a letter that OFR can provide that explains the University’s tax-exempt status. If a funder requires a 501(c)(3) and will not accept the University’s tax-exempt status, please contact OFR at foundations@psu.edu and we can discuss your options. 

When you are awarded a grant, be sure to alert our office by sending a copy of your award letter to foundations@psu.edu. We will setup report reminders, and alert you approximately six weeks in advance of the deadline.  We can also help with reviewing reports, coordinating foundation visits, and more.

Please let our office know if you are submitting a funding request to a private foundation. We strive to track all private foundation activity, including foundation responses to proposals, and can help in crafting your approach or proposal. See our Support Resources.

Also, make sure you are in touch with your research administrator early in the process so that proposals and all budget requirements  can be reviewed, prepared, and approved by the Office for Sponsored Programs.

Our office provides limited support to graduate students.